Back in 2015, we wrote about the U.S. Postal Service (“USPS”) taking issue with companies placing cannabis ads in the mail. In a written notice dated November 27, 2015, issued by the Portland, Oregon, District Mailing Requirements Office, the USPS explained: [i]f a mailpiece contains an advertisement for marijuana, that mailpiece is nonmailable” where the
If you’re still at the point where you are playing lawyer sometimes or all of the time with your cannabis business contracts, then this post is for you. I grew up in rural Wisconsin with two parents who were raised in the wake of the Great Depression. My parents had a bunch of kids, and
Cannabis licensing has a pretty standard trajectory by this point in time. States tend to start out with medical programs and later adopt recreational programs. What usually happens is that the recreational cannabis market swallows up the medical market. The majority of medical operators will seek out and get authorization to sell recreational cannabis, and
Seen as a protectionist, cottage measure to some stakeholders, residency requirements for cannabis licensure have been a staple in the industry since Washington and Colorado legalized cannabis statewide back in 2012. When I lived in Seattle, the local industry was mostly stoked then that “big money” and out-of-state interests couldn’t easily crash the party that
My last post in this series, which ran a few weeks ago, went over some of the more common representations and warranties you’d see in the average cannabis M&A transaction. In that post, I briefly mentioned disclosure schedules, which are an integral part of a purchase agreement and its reps and warranties. Today, I’ll get
There are a lot of bad ways to set up a cannabis business, and we like to think that we’ve seen them all. But there’s probably no worse category than 50/50 ownership of a business – a recipe for all sorts of disasters. Let’s look and why that is, and some ways to avoid it.
We wrote a couple of times about the Department of Cannabis Control’s (DCC) proposed emergency regulations. See here and here. Under those regulations, some interesting changes were proposed around the definitions of owners and financial interest holders, alongside restrictions on license stacking on “contiguous” premises (among other things). On September 15, 2021, the DCC submitted
Last Friday and Saturday, members of the Oregon Bar gathered (online) for the third annual Cannabis Law Institute (CLI) put on by the Cannabis and Psychedelics Law Section of the Oregon State Bar. Topics included agricultural liens and receiverships, securities in the cannabis industry, federal and state hemp updates, Oregon’s Psilocybin Act, and the failures
I’ve preached before on the blog about how often our firm gets pulled into M&A deals where the parties have screwed up reporting the transaction to cannabis regulators on both the state and local levels. In California, in particular, changes of ownership have been a painful affair where the Bureau of Cannabis Control (“BCC”) routinely
In my last post in this series, I ran through a detailed list of some of the more common conditions to closing you’ll see in the run-of-the-mill cannabis business purchase. Today, I want to do something similar, but instead with representations and warranties. In M&A contracts, the parties make various legal promises. Promises to do
